Current Washington Mortgage & Refinance Rates | Bankrate.com (2024)

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Current mortgage rates in Washington

As of Saturday, September 14, 2024, current interest rates in Washington are 6.13% for a 30-year fixed mortgage and 5.19% for a 15-year fixed mortgage.

The median home sale price in the state was up 4.4 percent year-over-year to $600,000 as of June 2024, according to ATTOM. However, in Seattle, prices have decreased 1.5 percent year-over-year. With mortgage rates on the decline from the 7 to 8 percent range, sidelined homebuyers could be looking to buy, which might increase competition in the state.

Refinance rates in Washington

Mortgage refinance rates are beginning to ease, but not knowing how low they could go makes knowing when to refinance a tough call for many Washingtonians. As of June 2024, the number of people refinancing in the state was down 10.5 percent year-over-year, according to ATTOM.

However, many Washington homeowners have much more tappable equity now. With a cash-out mortgage refinance, you could take advantage of this asset to help further your financial goals.

Learn more:Why and how to do a cash-out refinance

Washington mortgage rate trends

While mortgage rates are difficult to predict, national rates have been trending downward since mid-July. Many economists predict that rates will continue that downward trend through the end of the year and into 2025. The number of homes sold in Washington as of June 2024 was down 11.3 percent compared to the year prior, according to ATTOM. Decreasing mortgage rates could entice more people to buy or sell homes, spurring more activity in Washington's housing market.

Learn more:Latest mortgage rate forecast

Mortgage statistics for Washington

Washington’s housing market is dominated by the pricey properties in the Seattle region, but homes in the eastern part of the state are less expensive. Here are some statistics about mortgages and the housing market in The Evergreen State:

• Most affordable counties, June 2024: Adams, Columbia, Ferry, Garfield, Lincoln
• Median home sales price, June 2024: $600,000
• Median down payment, June 2024: $129,870
• Median days on market, July 2024: 16
• Homeownership rate, Q4 2023: 66.3%

Sources: ATTOM, Redfin, U.S. Census Bureau

Mortgage options in Washington

In the Washington market, purchase loans are by far the most common, accounting for 7,289 loans in June 2024, followed by refinance loans, of which there were 3,131 in June, according to ATTOM. If you’re looking to get a mortgage in Washington, there are several options:

• Washington conventional mortgages: To qualify for a conventional mortgage, you’ll need a minimum credit score of 620 and a debt-to-income (DTI) ratio of no more than 45 percent. If you make a down payment of less than 20 percent, you’ll need to pay private mortgage insurance (PMI), as well.
• Washington FHA loans: If your credit history disqualifies you from a conventional mortgage, you might be able to obtain a loan insured by the Federal Housing Administration (FHA). If you have a down payment of at least 3.5 percent, you could qualify for this loan type with a credit score as low as 580.
• Washington VA loans: If you’re a veteran or active-duty member of the military, you might qualify for a mortgage guaranteed by the Department of Veterans Affairs (VA). A VA loan doesn’t require a down payment or mortgage insurance, but you do need to pay a funding fee, which ranges from 1.25 percent to 2.15 percent for the first use.

Learn more:Types of home loans

First-time homebuyer programs in Washington

In Washington, qualifying first-time homebuyers have access to a variety of programs and educational opportunities, including:

• Home Advantage Program and down payment assistance: This state program is for new homebuyers — either first-time homebuyers or those who have owned in the past but do not currently. Through it, qualifying buyers can receive up to 4 percent of the first mortgage price in down payment assistance. The borrower must attend a free five-hour homebuyer education course to qualify.
• House Key Opportunity Program: Designed exclusively for first-time homebuyers, this state bond program requires borrowers to complete a homebuyer education course and work with a state-approved lender. The program is only available to those using certain down payment assistance programs, and there are exceptions for those purchasing a new construction or a home in a community land trust.
• EnergySpark: If you qualify for a Home Advantage loan and want to buy an eco-friendly home, the Washington State Housing Finance Commission’s (WSHFC) EnergySpark program can give you an interest rate reduction. To qualify, you must be buying a new home that exceeds Washington state energy standards by 15 percent, or buying an existing home that’s been renovated to exceed standards by 10 percent.

Learn more:Washington first-time homebuyer assistance programs

How to find the best mortgage rate in Washington for you

• Step 1: Strengthen your credit score - Long before you start looking for a mortgage lender or applying for a loan, give your finances a checkup, and improve your credit score if needed.
• Step 2: Determine your budget - To find the right mortgage, you’ll need a good handle on how much house you can afford.
• Step 3: Know your mortgage options - There are a few different types of mortgages.
• Step 4: Compare rates and terms from several lenders - Rate-shop with at least three different banks or mortgage companies to get the best deal.
• Step 5: Get preapproved for a mortgage - Getting a mortgage preapproval is the only way to get accurate loan pricing for your specific situation.

Learn more:How to get a mortgage

Additional Washington mortgage resources

• Washington loan limits by county: Learn the conforming loan limit for your city or town.
• Washington mortgage lenders: Explore mortgage lenders in your state.
• Washington housing market overview: Know what to expect as a homebuyer or seller in Washington.
• How to buy a house in Washington: Get set up for a successful house hunt with this guide.
• Homeowners insurance in Washington: Compare policies from a variety of providers.
• Mortgage calculator: Calculate possible mortgage payments to estimate what to expect.

Meet our Bankrate experts

Written by: Jeff Ostrowski, Principal Reporter, Mortgages

I cover mortgages and the housing market. Before joining Bankrate in 2020, I spent more than 20 years writing about real estate and the economy for the Palm Beach Post and the South Florida Business Journal. I’ve had a front-row seat for two housing booms and a housing bust. I’ve twice won gold awards from the National Association of Real Estate Editors, and since 2017 I’ve served on the nonprofit’s board of directors.

Read more from Jeff Ostrowski

Edited by:Laurie Dupnock, Editor, Home Lending

I’ve spent five years in writing and editing roles, and I now focus on mortgage, mortgage relief, homebuying and mortgage refinancing topics. I’m most interested in providing resources for aspiring first-time homeowners to help demystify the homebuying process. In 2021, I earned a Poynter ACES Certificate in Editing. I have an MA in English.

Read more from Laurie Dupnock